Interim Financial Statements For The Fifteen Months ended 31st March 2025

‌Kahawatte Plantations PLC

Interim Financial Statements

Fifteen Months ended 31st March 2025

Quarter Ended

15 Months

12 Months

Change +/(-) Rs.'000

Unaudited 31.03.2025

Rs.'000

Un Audited 31.03.2024

Rs.'000

Change +/(-) Rs.'000

Unaudited 31.03.2025

Rs.'000

Audited 31.12.2023

Rs.'000

Revenue

Cost of Sales

Gross Profit /(Loss)

Other Income

Fair Value Gain on Biological Assets Administrative Expenses Management Fee

Profit/(Loss) From Operating Activities

Finance Income

Finance Cost

1,110,891

(1,038,445)

1,642,851

(1,345,118)

(531,960)

306,673

6,783,280

(6,076,269)

5,153,626

(5,233,073)

1,629,654

(843,196)

72,445

16,760

17,107

(66,629)

-

297,733

20,594

-(50,049)

-

(225,288)

(3,834)

17,107

(16,580)

-

707,010

94,673

172,986

(285,163)

-

(79,447)

92,569

335,835

(187,356)

-

786,457

2,104

(162,849)

(97,807)

-

39,683

113

(43,010)

268,278

47

(86,846)

(228,595)

66

43,836

689,506

3,077

(339,021)

161,601

2,593

(441,483)

527,905

484

102,462

Profit/(Loss) before Taxation

Income Tax Expense

Profit/(Loss) for the period

(3,215)

(79,086)

181,479

-

(184,694)

(79,086)

353,561

(270,425)

(277,289)

(302,255)

630,850

31,830

(82,301)

181,479

(263,780)

83,136

(579,544)

662,680

Other Comprehensive Income

Items that will not be Reclassified to Profit or Loss Actuarial Loss on retirement Benefit obligation Deferred tax reversal on Retirement Benefit Obligation

Total Comprehensive Income/(expense) for the Period

11,067

(3,320)

-

-

11,067

(3,320)

(8,929)

2,679

(138,373)

41,512

129,444

(38,833)

(74,554)

181,479

(256,033)

76,885

(676,405)

753,290

Basic Earnings / (Loss) Per Share (Rs.)

(0.83)

1.83

(2.7)

0.84

(5.83)

6.67

Stated

Capital Rs.'000

Revaluation

Reserve Rs.'000

Accumulated

Profit/(Loss) Rs.'000

Total

Rs.'000

Balance as at 1st January 2023

1,698,952

340,596

(500,634)

1,538,914

Net Loss for the Period

-

-

(579,544)

(579,544)

Other Comprehensive Income/(Expense)

Actuarial Loss on Defined Benefit Obligation, Net of Tax

-

-

(96,861)

(96,861)

Balance as at 31st December 2023

1,698,952

340,596

(1,177,039)

862,509

Balance as at 1st January 2024

1,698,952

340,596

(1,177,039)

862,509

Net Profit for the Period

-

-

83,136

83,136

Other Comprehensive Income/(Expense)

Actuarial Loss on Defined Benefit Obligation, Net of Tax

-

-

(6,250)

(6,250)

Balance as at 31st March 2025

1,698,952

340,596

(1,100,154)

939,394

As at

Unaudited

31.03.2025

Rs.'000

Audited

31.12.2023

Rs.'000

ASSETS

Non Current Assets

Leasehold Right to Bare Land of JEDB/SLSPC Estates

237,555

214,234

Immovable Leased Assets of JEDB/SLSPC Estates (Other than Bare Land)

7,900

18,774

Property, Plant & Equipment

1,083,944

1,221,226

Biological Assets

3,871,091

3,735,005

Current Assets

5,200,490

5,189,239

Produce on Bearer Biological Assets

23,406

16,987

Inventories

462,849

603,898

Trade and Other Receivable

178,482

135,989

Amount Due from Related Parties

15,692

12,257

Cash and Bank Balance

99,966

23,578

780,395

792,709

TOTAL ASSETS

5,980,885

5,981,948

EQUITY AND LIABILITIES

Capital and Reserves

Stated Capital

1,698,953

1,698,952

Revaluation Reserve

340,596

340,596

Retained Earnings

(1,100,154)

(1,177,039)

Total Equity

939,394

862,509

Non Current Liabilities

Deferred Income

845,165

259,690

Deferred Tax Liability

1,035,578

767,832

Interest Bearing Loans and Borrowings

455,951

374,473

Retiring Benefit Obligations

734,206

667,399

Net Liability to Lessor of JEDB/SLSPC Estates

247,611

211,110

Current Liabilities

3,318,511

2,280,504

Interest Bearing Loans and Borrowings

787,034

1,120,378

Net Liability to Lessor of JEDB/SLSPC Estates

2,317

1,718

Trade and Other Payable

581,693

671,678

Amounts due to Related Parties

59,863

246,591

Bank Overdraft

292,073

798,570

1,722,979

2,838,935

Total Liabilities

5,041,490

5,119,439

Total Equity and Liabilities

5,980,885

5,981,948

Net Assets Per Share (Rs.)

9.45

8.68

For the Period ended

Unaudited 31.03.2025

Rs.'000

Audited 31.12.2023

Rs.'000

Cash Flow from Operating Activities

Net Profit/(Loss) Before Taxation

353,561

(277,289)

Adjustment For

Depreciation/Amortization

380,910

300,205

Write-Offs/Provisions (Inventory/Other Receivables)

12,929

1,243

(Profit)/ Loss from Disposal of Property Plant and Equipment

-

(2,805)

Interest Expenses

339,021

441,483

Interest Income

(3,077)

(2,593)

Provision for Retirement Benefit Obligations

204,642

141,406

Fair Value Gain on Biological Assets

(172,986)

(335,835)

Change in Consumable Biological Assets Due to Harvest

-

17,256

Amortization of Grants

(20,186)

(15,982)

Operating Profit/(Loss) before Working Capital Changes

1,094,813

267,089

(Increase) / Decrease in Inventories

138,033

176,587

(Increase) / Decrease in Trade and Other Receivable

(39,799)

(20,814)

(Increase) / Decrease in Amounts Due from Related Companies

(3,434)

(2,867)

Increase / (Decrease) in Trade and Other Payable

(43,713)

(49,273)

Increase / (Decrease) in Amount Due to Related Companies

31,942

87,844

1,177,842

458,566

Interest Paid

(288,390)

(421,064)

Payment of Retirement Benefit Obligations

(192,806)

(106,753)

Grants Received

605,661

500

Income Tax paid

-

(3,527)

Net Cash (Used In )/ Generated from Operating Activities

1,302,307

(72,278)

Cash Flow from Investing Activities

Investment in Immature Bearer Biological Assets

(125,535)

(202,743)

Investment in Immature Consumable Biological Assets

(9,287)

(12,311)

Purchase of Property Plant and Equipment

(65,022)

(75,991)

Proceeds from Disposal of Property Plant and Equipment

-

2,805

Interests Income

327

30

Net Cash Used In Investing Activities

(199,517)

(288,210)

Cash Flow from Financing Activities

Net Bank Loans Obtained / (Paid)

(197,840)

(15,153)

Net Intercompany Loans Obtained / (Paid)

(264,511)

416,182

Lease Rentals Paid to JEDB/SLSPC

(34,349)

(25,387)

Lease Payments to Central Finance PLC

(23,203)

(20,913)

Net Cash (Used In)/ Generated from Financing Activities

(519,904)

354,729

Net Increase / (Decrease) in Cash and Cash Equivalents

582,886

(5,759)

Cash and Cash Equivalents at the Beginning of the Year

(774,992)

(769,233)

Cash and Cash Equivalents at the End of the Period

(192,106)

(774,992)

Segment

Quarter Ended

15 Months

31.03.2025

Rs.'000

12 Months

31.12.2023

Rs.'000

Change +/(-) Rs.'000

31.03.2025

Rs.'000

31.03.2024

Rs.'000

Change +/(-)

Rs.'000

Tea

926,215

1,481,973

(555,758)

5,932,674

4,689,199

1,243,475

Rubber

143,737

121,286

22,451

665,498

381,688

283,810

Other Crop

40,938

39,592

1,346

185,108

82,739

102,369

1,110,890

1,642,851

(531,961)

6,783,280

5,153,626

1,629,654

Segment

Quarter Ended

15 Months

31.03.2025

Rs.'000

12 Months

31.12.2023

Rs.'000

Change +/(-) Rs.'000

31.03.2025

Rs.'000

31.03.2024

Rs.'000

Change +/(-)

Rs.'000

Tea

(867,520)

(1,186,382)

318,862

(5,246,680)

(4,514,164)

(732,516)

Rubber

(140,673)

(125,041)

(15,632)

(649,233)

(599,535)

(49,698)

Other Crop

(30,252)

(33,695)

3,443

(180,356)

(119,373)

(60,983)

(1,038,445)

(1,345,118)

306,673

(6,076,269)

(5,233,072)

(843,197)

Segment

Quarter Ended

15 Months

31.03.2025

Rs.'000

12 Months

31.12.2023

Rs.'000

Change +/(-) Rs.'000

31.03.2025

Rs.'000

31.03.2024

Rs.'000

Change +/(-)

Rs.'000

Tea Rubber Other Crop

Gross Profit/ (Loss) Unallocated

Other Income

Fair Value Gain on Biological Assets Administrative Expenses

Profit/(Loss) From Operating Activities

Finance Income Finance Cost

Profit/(Loss) before Taxation

Income Tax Expense

Profit/(Loss) for the period

58,694

3,064

10,686

295,591

(3,755)

5,897

(236,897)

6,819

4,789

685,993

16,265

4,752

175,035

(217,847)

(36,634)

510,958

234,112

41,386

72,445

16,760

17,107

(66,629)

297,733

20,594

-(50,049)

(225,288)

(3,834)

17,107

(16,580)

707,010

94,673

172,986

(285,163)

(79,447)

92,569

335,835

(187,356)

786,456

2,104

(162,849)

(97,807)

39,683

113

(43,010)

268,278

47

(86,846)

(228,595)

66

43,836

689,506

3,077

(339,021)

161,601

2,593

(441,483)

527,904

484

102,462

(3,215)

(79,086)

181,479

-

(184,694)

(79,086)

353,561

(270,425)

(277,289)

(302,255)

630,849

31,830

(82,301)

181,479

(263,780)

83,136

(579,544)

662,679

‌KAHAWATTE PLANTATIONS PLC

NOTES TO THE INTERIM FINANCIAL

01

Corporate Information

Kahawatte Plantations PLC is a public limited liability company incorporated and domiciled in Sri Lanka. It is listed on the Colombo Stock Exchange. The registered office of the Company is located at No. 111, Negombo Road, Peliyagoda. The principal activities and nature of operation of the Company is the cultivation, manufacture and sale of Tea, Rubber and other agricultural crops.

02

Basis of Preparation

The Condensed Interim Financial Statements of the Company have been prepared based on the Sri Lanka Accounting Standards that came into effect from January 01, 2012 (SLFRS/LKAS). There were no changes to the accounting policies and method of computation since the publication of the annual report 2023. Further, the Interim Financial Statements have been prepared in accordance with Sri Lanka Accounting Standard - LKAS 34 Interim Financial Reporting.

03

Approval of Financial Statements

The Interim Financial Statements of the Company as at 31st December 2024 were authorized for issue by the Board of Directors on 29th May 2025

04

Contingencies, Capital and Other Commitments

There has not been a significant change in the nature of the contingent liabilities which were disclosed in the Annual Report for the year ended 31st December 2023.

05

Events Occurring After the Reporting Date

There were no significant events after the reporting date which requires disclosure or adjustments in the Interim Financial Statements.

06

External Audit

The figures are extracted from unaudited financial statements of the Company.

07

Related Party Transactions

The nature of related party transactions in the current period is similar to those reported in the Audited Financial Statements for the year ended 31st December 2023.

08

Company Registration

Company Registration is No. PQ 109.

09

Company Registration

10

Change of Balance Sheet Date

The company's financial year end has been changed from December 31st to March 31st, for the purpose of aligning with the policies and procedures of the company's ultimate parent organization, to harmonize accounting practices across the group and fall in line with the standard fiscal year . Accordingly as per standard procedure , the registrar of companies & CSE have been notified and these Interim Financial Statements are presented for period of fifteen months. The audited financial

statements will be presented for a period of 15 months ending 31st March 2025.

‌KAHAWATTE PLANTATIONS PLC

SHAREHOLDERS INFORMATION

(A)

MAJOR SHAREHOLDERS

S/N

Name of the Shareholder

As at 31st March 2025

No of Shares

%

01

Forbes Plantations (Pvt) Ltd

50,955,581

51.26%

02

MJF Teas (Pvt) Ltd

19,516,886

19.63%

03

Dilmah Ceylon Tea Company PLC

12,571,800

12.65%

04

Mr. T L M Nawash

1,196,961

1.20%

05

Bank of Ceylon A/C Ceybank Unit Trust

1,133,973

1.14%

06

Mr. S N C W M B C Kandegedara

802,139

0.81%

07

Mrs. H M A R K Kaluhendiwela

650,947

0.65%

08

Mr. S Yusoof

500,000

0.50%

09

Dr. A A M Dharmadasa

340,295

0.34%

10

Ms. S N C W M T R Kandegedara

250,000

0.25%

11

Mr. N R S M R A Giragama

247,959

0.25%

12

Amana Bank PLC/HI-Line Towers (Pvt) Ltd.

212,057

0.21%

13

Mr, V K A M Karunaratne

172,445

0.17%

14

Seylan Bank PLC/ Mr. W D N H Perera

162,497

0.16%

15

People's Leasing & Finance PLC/Mr. R R S Ananda

157,377

0.16%

16

Assetline Finance Limited/Mr. C H Liyanage

149,998

0.15%

17

Mr. A S M Ismaath

149,992

0.15%

18

Citizens Development Business Finance PLC/Mr. F H T C Silva

149,752

0.15%

19

Merchant Bank of Sri Lanka & Finance PLC/ Mr. G C U Kumara

132,582

0.13%

20

Mr. T G A De Silva

132,575

0.13%

89,585,816

90.12%

Others

9,820,876

9.88%

Total

99,406,692

100.00%

(B)

PUBLIC SHARE HOLDING

The Percentage Shares Held by the Public

Total No. of Shareholders Who Hold the Public Holding %

As at 31st March 2025

16.44%

19,856

KAHAWATTE PLANTATIONS PLC

SHAREHOLDERS INFORMATION

(C )

STATEMENT OF EACH DIRECTOR'S HOLDING

HOLDING IN SHARES OF THE EQUITY

As at 31st March 2025

S/N

Name

Amount

%

Directors

01

Mr. Dilhan C Fernando (Chairman)

Nil

-

02

Mr. Malik J Fernando

Nil

-

03

Ms. Minette D A Perera

4,000

0.004

04

Mr. Himendra S. Ranaweera

Nil

-

05

Mr. Darshana Gunasekera

Nil

-

06

Mr. Dilantha S Seneviratne

Nil

-

07

Mr. Madawala A Wijeratne

Nil

-

08

Mr. Binesh N Pananwala (CEO)

Nil

-

09

Mr. B R P Peiris

Nil

-

(D)

MARKET VALUE

S/N

Q/E 31st March 2025

Q/E 31st March 2024

Rs.

Date

Rs.

Date

A

Highest

28.50

03-Feb-25

17.40

13-Mar-24

B

Lowest

19.20

07-Jan-25

14.80

07-Mar-24

C

Closing

22.80

16.50

(E )

The Float-adjusted market capitalization as at 31st March 2025 - Rs.372,516,090/-

(F )

The Company is listed on the Dirisavi Board having complied with a minimum public holding of 10% of the total listed shares in the hands of a minimum of 200 public shareholders. The Float-adjusted market capitalization of the Company falls under option 2 of Rule 7.14.1 (i) (b) of the Listing Rules of the Colombo

Stock Exchange.